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India's Wholesale Inflation Eases to 0.39% in May as Prices Moderate

Updated: June 16, 2025 12:12

India's Wholesale Price Index (WPI) inflation further eased to 0.39% year-on-year in May, a deceleration in inflationary pressures. The data, just released by the Ministry of Commerce & Industry, indicate softening inflation in manufacturing, fuel, and food categories, which is a reflection of stable supply chains and subdued global commodity prices.
 
Key Highlights:
  • Total WPI inflation 0.39% in May, under Reuters poll estimate of 0.80%.
  • Factory gate inflation at 2.04% YoY, reflecting modest firming in factory prices.
  • Fuel price index remains negative at -2.27%, reflecting continued deflation in fuel prices.
  • 1.72% wholesale food inflation accounting for stable food price pressures.
  • March WPI inflation fell to 2.25%, a more steep decline than previously indicated.
This weakening of wholesale inflation signals softening price pressures, which can have implications for monetary policy decisions and allow for smooth economic growth.
 
Source: Investing.com | Moneycontrol | Trading Economics

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